TRANSGENIC CROPS
FIGHT OVER CROP APPROVALS
U.S. lodges formal complaint over EU's alleged ban on approvals
BETTE HILEMAN
On May 13, the U.S., in collaboration with Argentina, Canada, and Egypt, filed a formal complaint with the World Trade Organization (WTO) to force the European Union to lift its de facto moratorium on approvals of new, genetically modified (GM) crops. The European Commission calls this move "legally unwarranted, economically unfounded, and politically unhelpful."
The suit is expected to exacerbate economic tensions between the U.S. and the EU. Recently, WTO ruled against the U.S. in trade lawsuits brought by the EU involving steel tariffs and tax shelters for overseas corporations.
The U.S. claims the EU informal ban on new GM crop approvals has led to hundreds of millions of dollars' worth of lost exports into Europe. Rep. J. Dennis Hastert (R-Ill.) says American farmers' corn exports have been reduced by $300 million annually because of the European moratorium.
"The EU moratorium has sent a devastating signal to developing countries that stand to benefit most from innovative agricultural technologies," U.S. Trade Representative Robert B. Zoellick explains. For example, Zambia, under famine conditions, refused GM crops as food aid.
"The EU is violating basic WTO obligations to maintain a food
approval process that is based on 'sufficient scientific evidence' and [to act] without 'undue delay.' "
--U.S. Trade
Representative Robert B. Zoellick
The EU contends, however, that its informal moratorium was lifted last year. "The fact is that the EU" authorized two GM cottonseed oils in the past year and "is currently processing applications," says EU Trade Commissioner Pascal Lamy.
The EU Parliament is completing legislation that will require labeling of GM food and feed. "This is essential to restore consumer confidence in genetically modified organisms in Europe," says David Byrne, EU commissioner for health and consumer protection. The lack of consumer demand for GM products accounts for the low sales in the EU, he claims. |